Business, 11.12.2019 22:31 mayahgrimes
Explain how each of the following events influences the u. s. consumption function. when the marginal propensity to consume increases, the u. s. consumption function
a. shifts upward
b. becomes flatter
c. does not change
d. shifts downward
e. becomes steeper
when u. s. autonomous consumption increases, the u. s. consumption function
a. shifts downward
b. becomes flatter
c. becomes steeper
d. does not change
e. shifts upward
Answers: 3
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Onsider the following subscription behavior information from genie, a web site that provides tools for constructing a family tree (ancestor search). subscriptions cost $9.99 per month, but you are charged for the entire year at the time of purchase. there is a one-year minimum term when you sign up for the service. once purchased, subscriptions are set to renew automatically unless the subscriber cancels them. when a membership renews, it renews for a one-year term and again you are charged for the entire year. there are no variable costs associated with providing this service to an individual customer, but genie does engage in customer relationship activities that they believe will increase customer retention. these customer relationship activities cost genie about $10 per year per customer. based on a sample of 1000 customers that joined genie five years ago, near the time when the company was founded, they were able to determine how many of those customers remained subscribers in the second year, third year etc. based on this information, genie calculated the average annual retention rate to be 20%. genie uses an annual discount rate of 8%. a. last year, genie spent $10,000 placing advertisements on google. genie management believes that these advertisements were responsible for about 300 new subscribers. would you recommend to genie management that they purchase more google ads? b. suppose a newly-introduced loyalty program increases the number of customers that remained to 30%. does this new data change your answer to 9.a? c. do you have any hesitations or concerns about making recommendations to management based on your above estimate of customer lifetime value?
Answers: 2
Business, 22.06.2019 11:00
While on vacation in las vegas jennifer, who is from utah, wins a progressive jackpot playing cards worth $15,875 at the casino royale. what implication does she encounter when she goes to collect her prize?
Answers: 1
Business, 22.06.2019 16:30
Which of the following has the largest impact on opportunity cost
Answers: 2
Explain how each of the following events influences the u. s. consumption function. when the margina...
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